International Employee Relation

1. HRM and employee relation

1.1.      India

            There are many Human Relation related problems, which create significant challenges to the industry in India, especially on the subject of payment systems, salary levels, training, working circumstances, and long-term career succession. Conversely, not much has been done up to now to examine these up-and-coming problems (Budhwar & Sparrow, 2004).

            There is an inconsistency in the “best fit” and “best practice” approaches to improving HRM competencies in the current Indian surroundings. Nevertheless, there is space for a third approach showing the changing and complicated environment of HRM practices in India. Some people think the “best practice” or “best fit” dichotomy as basic and effort to produce the third way to catch the details and instability that characterize the human resource management practices in a global period (Insead, 2005).

            The rising acknowledgment in managing human resources for organizational efficiency has supported the implementation of strategic HRM. The Human Resource strategy is a process of combining different Human Resource practices with business processes to present an aggressive boundary to the organization in India. Experiential studies, which performed in successful organizations, show that human resources management practices can be combined with the organization long-term and short-term business strategy and not intended as a divide process (Budhwar & Sparrow, 2004).

            Supporting Human Resources processes and methods that improve employee competence with the pertinent business strategy is important, as they allow for the organization’s aims, rules and constitutions. Profitable companies in India, such as SAIL, Larsen & Toubro, etc, incessantly emphasize on the requirement to improve strategic HRM. Nowadays, companies in India should take a closer look at their existing Human Resources practices. The development of information technology has altered employment practices and relationships (Budhwar & Sparrow, 2004).

            Globalization and growth in the skilled and educated work force has directed to a raise in employee optimisms in terms of compensation, gratitude and tasks. While employees play an important role in achieving organizations objectives, strategic planning needs to emphasize on rules that appropriate in with business objectives and fulfill employee requirements. For instance, the requirement for better performance needs rules that improve employee inspiration and satisfaction, thus carrying about employee contribution and originality (Budhwar & Sparrow, 2004).

            Managers and investigators in India have presented many best practice models that may be implemented as preparing a strategic plan. Nevertheless, these are not the solution for organizational efficiency, but work to suggest an only some methods that may be integrated when improving a strategy (Insead, 2005).

1.2.      China

            The extraordinary span of the economic and social reform movement in China has made considerable social and ethical concerns while also lifting expectations of better liberty and wealth for the Chinese people. Many transformations already completed and many unanswered transformation movement problems have lead influences on job performance and employee management approaches. Therefore, HRM practices represent ideological concerns (“HRM in Multinationals’ Operations in China: Business, People, and HR Issues”, 2006).

            The Chinese people have to make a decision whether they can implement a market economy without also receiving HRM practices that conflict with conventional Chinese values. Because of the existing of the ethical problems, manager deal with managing human resources, directing sustainable and human development, which will need cautious awareness to the ethical problems intrinsic in human resource management in developing countries such as China (“China Entry and Operations Guide”, 2005).

            Formerly, the majority of the literature about Human Resource in China can be classified as taking a comparative analysis of various models, such as Western, Japanese, or Asian. Moreover, this can be separated into two types. First is the wide scene of the industrial relations view, which attempts to give details about the active interaction of some disciplines for example regulation, labor market behavior, and office organizations (“HRM in Multinationals’ Operations in China: Business, People, and HR Issues”, 2006).

            The next is the practice of Human Resource inside Chinese organizations, examined by managerial structure, for example joint ventures or foreign investments, or by size and location. There are very dissimilar perspectives in expanding an account of the academic aspect of Human Resource in China (“HRM in Multinationals’ Operations in China: Business, People, and HR Issues”, 2006).

            In the view Chinese economic revolution, the great concepts such as the viability of market socialism, the development of liberated markets, and the fascination of foreign investments have had bizarre petition for practitioners and academics in a similar way. The era has moved toward for more concentration to changing organizations that can improve and continue the movement of concepts into practice. Human Resource is an illustration of the requirement to begin disciplines of specialization that are rationally and pertinent, and debatably critical in the circumstance of economic reformation (“China Entry and Operations Guide”, 2005).

            The great analysis of the Chinese economic transformation is how well labor markets and the employment practices assist the Chinese people. An essential variable in this economic analysis is the quality of Human Resource, in both of the micro and macro substance. More analysis and more teamwork are clearly required (“HRM in Multinationals’ Operations in China: Business, People, and HR Issues”, 2006).

            Contemporary China HRM theory is adjusted by western countries, principally from United States. Growth of contemporary China HRM is still at the opening phase. Consequently, China contemporary Human Resources managers do not uphold much HRM instruction experiences. On the other hand, there are some methods for Human Resource managers to move toward and create their own HRM system (“China Entry and Operations Guide”, 2005).

1.3.      Japan

            The Japanese enterprises have an appeasing approach in performing salary negotiations on the side of a strong posture on job protection for their workers. Unions would assurance supportive performance by their workers, in exchange for suitable performance by companies and the incorporation into the company’s training, wage arrangement, and joblessness systems (“Human resource management in Japan”, 2006).

            In addition, companies could trust in the role of arranged business as a last chance protector, if the union did not complete its surface of the agreement. This equilibrium has now altered with the simultaneous worsening of the conventional business unions, business organizations and keiretsu systems. At present, both sides are less capable than before to assurance that the other side will be good, even concerning that the other side would have an inducement to leave the association (“INTERNATIONAL HRM: THE STATE OF RESEARCH AND PRACTICE”, 2005).

            Some managers become targets of the nuufratto method and they feel an increasing need to protect their interests. Nevertheless, the Trade Union Law simply distinguishes unions as on behalf of the interests of the employers. Apart from executive acknowledgment, more groups may form within the companies to protect the interest of the core professional employees and their understood non-discharge agreement (“Human resource management in Japan”, 2006).

            The technique of company-based unions may be destabilized rigorously if such groups expand outside companies to turn out to be horizontal local or national professional unions. In addition non-union employee account may present a danger to the conventional enterprise-based unions. Japanese companies have dedicated great attempt to improve participation in management by using non-union account practices imaginatively and efficiently to organize and develop employee account in decision-making (“INTERNATIONAL HRM: THE STATE OF RESEARCH AND PRACTICE”, 2005).

            There are extensive and outstanding transforms brushing the Japanese employment system. Japanese employment system is more difficult to appraise. Whether it esteems performance compensation, the removal of management titles, or lessening of the labor force, the adjustment of Human Resource practices in Japanese companies looks to be decelerate and incremental, cautiously keeping away from unexpected or distressing collapses with the past. Japanese managers have a well-built awareness of company responsibility to present jobs, profits and protection (“Human resource management in Japan”, 2006).

            Moreover, future revolutions can be expected in the nenko, seniority-based salary system than in the shushin koyo, the era employment government. In a recuperating economy, also Japanese employee relations may be influenced by many altering environmental strengths for example the globalization of the economy, the quickly aging population, the increase of rate of technological modernizations, transforms in the values of the new generation, etc.

On the other hand, it is also hazardous to exaggerate the speed of recent developments. The major attributes of Japan’s industrial relations will almost certainly be continued in the future (“Human resource management in Japan”, 2006).

• Comparison of HRM Practices in India, China, Japan

Based on the above elaboration concerning the practice of human resource management in India, China, and Japan, Table 1 is the comparison/differences of HRM practices in the three countries:

Table 1           Comparison of HRM Practices in India, China, Japan

Items	India	China	Japan
Good	·   Information technology changes employment practices and relationships (Budhwar & Sparrow, 2004).	·   Economic and social reforms have increased wealth ·   Completed transformations influence job performance and employee management approaches	·   Japanese companies have dedication to improve management participation by adopting non-union practices
	·   Globalization and growth of skilled and educated workforces have raised employee optimisms (compensation, gratitude and tasks)	·     Human resource practice in China is the mix of HRM practices in Western, Japanese, or Asian countries
Bad	·    Inconsistency in the implementation of “best fit” and “best practice” approaches	·   Growth of contemporary China HRM is still at the opening phase.	·   Company-based unions are destabilized if groups expand outside companies to be professional unions. ·   Japanese enterprises have an slow approach in performing salary negotiations

2. HRM approach in Multinational Company

            Coca Cola is one of the Multinational Company that operates in India, China, and Japan. Coca Cola India presents excellent strategic leadership in the system effecting in consumer and customer favorite and devotion through Coca-Cola’s commitment to Indian peoples and in a greatly profitable Coca-Cola Company branded beverage system.

            In Coca Cola India, when employees have been employed, the company launches training programs to improve the transition of new employees into the typical of the company. In India, it is significant to eradicate any nervousness felt by new employees. Eradicating nervousness relates to the creation of more dynamic employees, consistent with research studies in human resource management.

            Later than new employees have finished the training program and came in the regular work course, it is important that evaluation processes be conducted to supervise job performance and recognize strengths and weaknesses of individual employees. Continuing evaluations will emphasize the requirement for improvement employee skills through either internal or external training programs.

            Similar to Coca Cola in India, Coca Cola Company in China is implementing an effective and successful training and development (T&D) system for their employees. However, it conducted with different objective. Training and development (T&D) system will help to comply with their eagerness for skill and knowledge, and it will also provide them the significance that the company is dedicated to their improvement. This effective training and development system have constructive consequences on the Human Resources issues in China.

            The Japan Coca Cola Company has principle that stay on the rule of lifetime employment. Therefore an employee once recruited served the company until about the age of 60. This supported the company to improve training programs through, which the employee would be trained to deal with new jobs as he develops in the company. The Training programs can be separated into two groups. Those are on-the-job training (OJT) and off-the-job training (off-JT). The Japan Coca Cola Company also completed the skill of job rotation such that employees in the lower step and at shop floor level became multi-talented.

Works Cited

Budhwar, P & Sparrow, P. 2004, ‘Strategic HRM through the cultural looking glass: mapping the cognition of British and Indian managers – human resource management’, [Online] Available at: http://www.findarticles.com/p/articles/mi_m4339/is_4_23/ai_95967283 [Accessed 12 December 2006]

‘China Entry and Operations Guide’, 2005, [Online] Available at: http://www.chinaguide.ch/ [Accessed 12 December 2006]

‘HRM in Multinationals’ Operations in China: Business, People, and HR Issues’, 2006, [Online] Available at: http://www.ilr.cornell.edu/depts/cahrs/PDFs/WorkingPapers/WP98-06.pdf [Accessed 12 December 2006]

‘Human resource management in Japan’, 2006, [Online] Available at: http://polyglot.lss.wisc.edu/easian/Bsnsjse.377/HRMinJapan.pdf [Accessed 12 December 2006]

‘International HRM: The State of Research and Practice’, 2005, [Online] Available from: http://www.cba.hawaii.edu/elaine/ihrmoded.htm [Accessed 12 December 2006]

Insead. 2005’, TRANSFERABILITY OF JAPANESE HUMAN RESOURCE MANAGEMENT PRACTICES CASE STUDY OF HONDA JAPAN AND ITS JOINT VENTURE HERO HONDA IN INDIA. [Online] Available at: http://www.insead.edu/events/eamsa/papers/roychoudhury.pdf [Accessed 12 December 2006]